U.S. stocks broadly sold off on Tuesday amid concerns the dollar strengthening against the yuan will create more headwinds for multinational companies. Commodities also dragged, continuing a prolonged slide, as U.S. crude oil fell 4 percent to settle at a six-year low.
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Chandler contended that markets did not react to the first devaluation, but to the possibility of steeper declines.
"The market is saying that there are going to be more devaluations coming," he noted.
Still, Chandler downplayed concerns that China's move would start a global currency war, or other countries making similar moves in response. Some multinational companies also looked to minimize concerns about the yuan's effect on their performance.
General Motors, for instance, called its exposure to foreign exchange moves "limited and manageable." The automaker noted it did not expect a "material impact" on its finances.
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GM and its joint ventures sold 229,175 cars in China in July, a 4 percent year-over-year decline.